Over the last decade the rent-to-own market has been highly popular in countries in Europe and the UK, increasing affordability of homeownership. The recent introduction of rent-to-own in Uganda is predicted to drive growth of second home ownership amongst the Ugandan diaspora.
Rent to buy’s popularity is driven by the opportunity to own a home without initially raising a mortgage or significant deposit. Instead, the property developer offers a rent-to-own agreement in which the future owner commits to renting a property for a specific period of time, with the option of buying it before the lease runs out. The buyer pays rent throughout the lease, and in some cases, a percentage of the payment is applied to the purchase price or used to support a mortgage application.
The improved standard and quality of property development in Uganda to match European and American style living has stimulated interest in diaspora owning a holiday apartment or planning a retirement home, in turn this has made it possible to introduce Rent-to-own to the market.
International property developer Clive Kefford, CEO of Jakana Heights explains why his company is increasingly facilitating Rent-to-own agreements in Uganda: “We set out to build a unique condominium community to meet the demands of Ugandan diaspora who want a home back home built to a luxury standard. This meant developing homes to a much higher quality than has previously been available in Uganda. Jakana Heights does just that, as the rapid sale of the first phase has proven. But we also saw that there was a real opportunity for second home ownership through Rent-to-own, which had previously not been possible in Uganda. Increasingly we are seeing our clients enquiring about the opportunity because it makes buying a second home easier and much more affordable. It is an approach that we have seen work successfully for our clients in other parts of the world”.
The scheme works in conjunction with bank finance and requires the clients to be credit checked before being approved. Jakana Heights works with all the major banks in Uganda so the first step is to select the bank. The second step is for the bank, the client and Jakana Heights agree a specific deal that is individually tailored to meet the needs of the client. Once agreed the sales contract can be put in place within a few days.
Jakana Heights offers first-class, luxury living in Kampala. The community of condominiums is located at the top most point of Konge hill with breathtaking views of Lake Victoria and Kampala city.
If you are interested in learning more about Rent-to-own in Jakana Heights contact: +256 775 495 107 or contact us here